H & M 's Target Market Range Age Group Essay

The intensity of rivalry and the threat of substitutes are strong components for J.C. Penney to consider as they continue to strive for increased revenue and market share. Their two primary competitors are Macy’s and Kohl’s, both of whom have fiercely competitive strategies to be strong retail operations. For instance, while Macy’s offers a multitude of promotional deals and is working hard to choose products based upon demographics and geographic segmentation, Kohl’s is attempting to reduce their inventory levels and improve their marketing strategies in order to become a stronger competitor in the department store segment of the retail industry. In order to compete with their competitors, J.C. Penney aims to focus on their previously successful promotions and home department segmentations by bringing in new reputable designers in order to attract a larger customer base. Due to the fact that the intensity of rivalry and threat of substitutes are both moderately strong in the retail department store industry, J.C. Penney ought to be diligent in their implementation of strategies in order to achieve success in the retail business.

For Hillsborough Community College to attract the most students and achieve higher retention rates, Differentiated Marketing would be the best practice. Because Hillsborough Community College is predominantly diverse, target marketing groups should include dual-enrolled students, recent high-school graduates, young adults, and career-oriented adults seeking higher education. A smaller marketing group to consider is the mature adult over the age of 60 who are seeking recreational classes. Promotional messages should be developed to target each group in order to increase attraction and retention in each group category. The main marketing focus of HCC has been on the high school market, and not in actively recruiting the adult market (Clarus 16). Though the high school market may always display a greater percentage of students attending HCC, other marketing groups may show an improved interest if promotional messages are targeted to each group, thus increasing overall attendance.

Consisting of 77.2 million people, baby boomers — people born between 1946 and 1964 — represent a prized, yet often misunderstood, demographic for online marketers. In fact, they represent the largest group within the U.S. Internet population at 56.7 million users, a full 29.4 percent of all Internet users. So why is there such confusion about how to effectively market to them? A recent report from the online market research firm eMarketer, Boomers Online: Attitude Is Everything, addresses this issue.

3.2 High Price-High Quality Fashion ClothingPreviously, for quite some years, Top Shop had to experience low revenues and even lower profits primarily because of its excessive focus on price competitiveness. Later a shift its strategy helped the bottom line to sore up. The major factor contributing to such a result was the chain's new focus on female fashion clothing and accessories that it brought into the market before its competitors even if it had to pay more to the suppliers. Such a strategy assisted it in becoming a market leader where it came to the latest trends and fashion in the women-ware.

Levi’s decided to place their product in department stores as they had good relations with the retailers due to their volume sales of jeans. They did not have any real relationship with the specialty stores where the independent male shopped. Rather than placing their new products which would be considered as high-end in these specialty stores and where they would be among the lower price range, they chose to place their products in the department stores where their products showed a deviation from the regular Levi formula and were considered very pricy as compared to other high-end department store brands such as Haggar’s. This price raised some concerns among the retailers as they were unsure if Levi’s formal wear would move out of the stores at a required pace. Also, due to price-quality inference, if Levi’s was placed in a specialty store, the Q2 customer might prefer to buy a more expensive product.  Levi tried to sell these formal clothes in the same stores as their casual clothes for the same segment of customers. Customers saw these formal clothes at the same place priced higher than the casuals, and therefore found them to be expensive.

H&M became one of the biggest worldwide leading fashion retailers. Until Year 2010, H&M has around 2,000 stores in 37 markets (Data from H&M-US Website). Details of market overview of H&M can be referred to Appendix I.

H&M promises the best articles, trying to produce fashion clothes in a sustainable way and selling quality clothes

H&M sells the latest trend. It adapts to every age and also to the tastes and needs of its customers.

ity wears and undergarments for men. This helps to increase another streams of revenue for the company as more customers are targeted.

* Procurement: As it is the second Europe’s cloth retailer company, for the production H&M uses a lot of material and workers so its mains recourses are material, labour and energy. That is why small changes in prices can affect the company’s profit a lot, and the fact that it does not own any manufactories causes some problems in controlling the production’s prices. However, not owning the factories can be an advantage in some cases. Indeed, if a problem appears, H&M can easily change its suppliers. Moreover, due to its huge size, H&M can easily manipulate with its suppliers to have the best quality at the lowest production’s price.

The H&M guarantees value for their low pricing. This strategy of low prices has made the company very successful in emerging markets, according to Jepeson (2014). From the research conducted H&M seems to be practicing a cost based pricing model. The two major constituents of the brand pricing is the high fashion and the lower cost. The company collaborates with renowned designers in order to offer innovative product design but manages to keep prices low through the manufacturing

The Right Target Market One of the most important marketing functions for a firm is finding

Burberry target audience is designed for both sexes however it is dominated by the female target audience who have a high disposable income. The brand has their own childrenswear range which can appeal to parents but are likely to be people from wealthy backgrounds. Burberry is famous for appealing to celebrities who purchase coats and dresses which have a high end appeal. Burberry focuses more on customer value in order to attract and retain costumers. With the aim to achieve this by producing a marketing concept by meeting and exceeding costumer needs then their rivals.

Hennes and Mauritz AB is a Swedish retail-clothing company, which has expanded enormously in the past years. H&M has grown from one single store in a small town in Sweden to a multinational ranked as the second largest global fashion retailer with its 3,600 stores in over 58 countries and $22 billion in annual sales (The World’s). This incredible story of success makes us wonder about their strategies and how they managed to get where they are today.

This report contains the analysis of value and culture of reputable apparel retailer H&M, as well as three analysis method, which is PETEL, Porter’s five forces, and VRIO framework, to analyse the external influence factors, competitors, and competitive advantages of H&M.